Where do our raw materials come from?

Platts reports that the global operations headquarters of US giant Peabody Energy will be relocated to Brisbane following the acquisition of Australia's Macarthur. Peabody raised $3.1 billion with the sale of senior notes on Monday and now owns 77.6% of Macarthur after ArcelorMittal pulled out of its joint $5 billion bid for the coking coal producer, just days after the target's top shareholder accepted the offer. Peabody is the world's largest private-sector coal company with 2010 sales of 246 million tons and nearly $7 billion in revenues.

The Guardian reports Scottish ministers are expected to order a public inquiry into plans to build the UK's only new coal-fired power station with carbon capture and storage (CCS) technology after it suffered another serious setback. The latest delay follows unprecedented public opposition to the $4.8 billion project and will also damage proponents of CCS – where CO2 emissions are sequestered underground – and the so-called 'clean coal' lobby. Only two small coal CSS pilot projects exist worldwide: Schwarze Pumpe in Germany and Mountaineer Power Plant in West Virginia.

The Sydney Morning Herald reports in a major policy victory for Australia's Gillard government's controversial carbon pricing scheme has passed parliament with Labor and the Australian Greens forcing the 18 so-called clean energy bills through the Senate. The laws – fiercely opposed by the country's mining sector which says it will lead to more than 20 mine closures and cost thousands of jobs – will force Australia's top 500 polluting companies to pay a tax of $24.50/tonne on carbon emissions from July 2012. On top of the carbon tax set to kick in mid-2012, Australian miners also have to contend with the new minerals resource rent tax set at an effective 22.5% rate on the so-called super-profits of the extractive industries.

The CourierMail reports fly-in, fly-out "working girls" travelling from as far away as New Zealand to the remote mining regions of Queensland and Western Australia are making as much as $2,000 a day from mine labourers who have lots of cash but are deprived of female company for weeks on end. Fifo prostitution is just the latest concern for rural communities in the country's mineral-rich states who are becoming increasingly unhappy about mining firms like BHP that set up self-contained mining towns cut off from locals or let miners fly in and out without ever investing in existing communities.

India's largest business group is considering making a bid for New Hope Corp. (ASX:NHC) in what could be the largest coal deal since Alpha Natural Resources (NYSE:ANR) bought Massey Energy in January for around $7 billion. According to Bloomberg, citing sources familiar with the plan, the acquisition would involve a joint bid between Tata Steel and Tata Power for Queensland-based New Hope which is valued at $A4.9 billion. Indian steelmakers and power plants are struggling to secure coal to run their plants in the face of supply shortages.

South Africa's mineral resources minister Susan Shabangu is on a road show in Australia and the UK to quell fears of mine seizures and drum up new investment for the country. So far few are suspending their disbelief over nationalization.

Shares in Alpha Resources (NYSE:ANR) climbed 13% today on news that the company pulled in record revenues this year and beat analyst targets. The Virginia-based company, which acquired Massey Energy after a deadly blast at one of its coal mines last year, said it posted a record $2.3 billion in the first nine months of the year due in part to the inclusion of a full quarter of Massey's results, which contributed $805 million.

ZeeNews report the world's largest steel-maker ArcelorMittal on Thursday reported a dip of over 51% in net income to $659 million for the quarter ended September 30, 2011, due to rising raw material costs and a fall in demand. The Indian giant also said it will face increasing pricing and volume pressures in the final quarter and is idling production as a result – it has mothballed eight furnaces in Europe and permanently retired another just over the last two months. Arcelor's gloomy outlook prompted one analyst to observe: "We're in a very dark market environment right now."

Coal of Africa raised US$106 million after placing 130 million ordinary shares representing 24.4% of CoAL's issued share capital prior to the placing. Coal of Africa operates coalfields in the Mpumalanga Province in South Africa. It runs two collieries and is advancing other projects. John Wallington, chief excecutive officer of the company was pleased with the placement.